(Photo= Yonhap news)

 

 

[Alpha Biz= Reporter Kim Jisun] It has been reported that Nippon Steel is considering withdrawing its initial review application submitted to U.S. authorities regarding its acquisition plan and resubmitting it later.

According to Kyodo News on the 18th, the Committee on Foreign Investment in the United States (CFIUS), which is reviewing the acquisition, has agreed to allow a resubmission. Nippon Steel is expected to withdraw the existing application by the 23rd and then submit a new one. If this happens, the review's conclusion will be delayed until after the U.S. presidential election in November. The report added that Nippon Steel aims to focus its acquisition strategy on a period with less political pressure, post-election.

However, Nippon Steel declined to comment on the matter.

Last December, Nippon Steel announced its plan to acquire U.S. Steel, a symbol of American industrialization, for $14.1 billion (approximately 18.3 trillion KRW). Both companies requested a review by CFIUS that same month, and the White House stated that it would closely examine the deal's potential impact on national security before approving the acquisition.

CFIUS reviews foreign acquisitions of U.S. companies to assess their impact on national security. If concerns are identified, CFIUS can request corrective actions or recommend that the president block the deal.

 

 

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